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HomeMy WebLinkAbout2006-26197 Reso RESOLUTION NO. 2006-26197 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, WAIVING BY 5/7THS VOTE, THE FORMAL COMPETITIVE BIDDING REQUIREMENTS, FINDING SUCH WAIVER TO BE IN THE BEST INTEREST OF THE CITY, AND AUTHORIZING THE CITY MANAGER, AS THE CITY'S DESIGNEE, TO TAKE ALL NECESSARY ACTIONS TO PROCURE THE NECESSARY CONSTRUCTION SERVICES FOR THE RENOVATION OF THE NORMANDY SHORES CLUBHOUSE, AND THE CONSTRUCTION OF THE NEW GOLF COURSE MAINTENANCE BUILDING, CART BARN, AND TWO (2) RESTROOM BUILDINGS (THE PROJECT), AS FOLLOWS: (1) AUTHORIZING THE CITY MANAGER TO NEGOTIATE ( IN CONJUNCTION WITH THE CITY'S CAPITAL IMPROVEMENTS OFFICE (CIP)) AND EXECUTE AN AGREEMENT FOR PRE-CONSTRUCTION SERVICES, IN AN AMOUNT NOT TO EXCEED $50,000, WITH THE FIRM OF COASTAL CONSTRUCTION COMPANY AND, UPON SATISFACTORY COMPLETION OF SAID PRE-CONSTRUCTION SERVICES; (2) AUTHORIZING THE CITY MANAGER TO NEGOTIATE (IN CONJUNCTION WITH CIP) AND EXECUTE A GUARANTEED MAXIMUM PRICE (GMP) AGREEMENT WITH COASTAL CONSTRUCTION COMPANY FOR THE CONSTRUCTION OF THE AFORESTATED PROJECT; IN THE EVENT THE ADMINISTRATION IS UNSUCCESSFUL IN NEGOTIATING AN AGREEMENT(S) WITH COASTAL CONSTRUCTION COMPANY, AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE AN AGREEMENT(S) WITH THE SECOND RECOMMENDED FIRM OF PIRTLE CONSTRUCTION COMPANY; IN THE EVENT THE ADMINISTRATION IS UNSUCCESSFUL IN NEGOTIATING AN AGREEMENT(S) WITH PIRTLE CONSTRUCTION COMPANY, AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE AN AGREEMENT(S) WITH THE THIRD RECOMMENDED FIRM OF THE TOWER GROUP; IN THE EVENT THE ADMINISTRATION IS UNSUCCESSFUL IN NEGOTIATING AN AGREEMENT(S) WITH THE TOWER GROUP, AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE AN AGREEMENT(S) WITH THE FOURTH RECOMMENDED FIRM OF SUFFOLK CONSTRUCTION COMPANY; IN THE EVENT THE ADMINISTRATION IS UNSUCCESSFUL IN NEGOTIATING AN AGREEMENT(S) WITH SUFFOLK CONSTRUCTION COMPANY, AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE AN AGREEMENT(S) WITH THE FIFTH RECOMMENDED FIRM OF TURNER CONSTRUCTION COMPANY; PROVIDED FURTHER THAT THE AFORESTATED PRE-CONSTRUCTION SERVICES AGREEMENT AND GMP AGREEMENT SHALL BE SUBJECT TO RATIFICATION BYTHE MAYOR AND CITY COMMISSION AT A FUTURE MEETING; IN THE ALTERNATIVE, PROVIDED FURTHER THAT, IN THE EVENT THE CITY COMMISSION DOES NOT APPROVE THE AFORESTATED WAIVER, AUTHORIZING THE ADMINISTRATION TO ISSUE A REQUEST FOR PROPOSALS (RFP) FOR THE NECESSARY CONSTRUCTION SERVICES RELATIVE TO THE ABOVE REFERENCED PROJECT. WHEREAS, on October 8, 1997, pursuant to Request for Qualifications No. 79-96/97 (RFQ), the Mayor and City Commission adopted Resolution No. 97-22575, authorizing the Mayor and City Clerk to execute an Agreement with the firm of Arthur Hill and Associates, for professional services for the design, construction, bidding documents, construction observation, project administration, scheduling, and cost estimating necessary for the renovation and improvement of three City golf courses: Miami Beach Golf Course, Miami Beach Golf Course /Par 3, and the Normandy Shores Golf Course (the Agreement) ; and WHEREAS, it is currently anticipated that the Normandy Shores Golf Course Renovation Project will commence in the Winter of 2006, and be completed by the Winter of 2007; and WHEREAS, on December 2, 2005, in an effort to minimize delays, the City's Capital Improvements Office (CIP) issued Pass International, one of the City's Job Order Contractors (JOC), a Notice to Proceed relative to design-build services for the renovation of the existing clubhouse, and demolition and design of a new maintenance building, cart barn, and two(2) restroom buildings, all at the Normandy Shores Golf Course(the Project and/or the ancillary facilities); and WHEREAS, shortly after Pass International commenced the design-build process, the Administration concluded that the inclusion of certain professional design services within the JOC contract, particularly architectural and engineering services, would not comply with the public announcement requirements under Section 287.055, Florida Statutes (the "Consultants' Competitive Negotiations Act" or "CCNA"); and WHEREAS, accordingly, on February 17, 2006, the City terminated the services for the design/build contract with Pass International; and WHEREAS, in order for the Normandy Shores Golf Course to be operational by Winter, 2007, the Golf Course ancillary facilities (clubhouse, cart barn, maintenance building, and restrooms) need to be designed, permitted and built to coincide with the completion of the total Course renovation; and WHEREAS, in particular, the Golf Course maintenance facility is essential to the proper maintenance of the Course by the City's Parks and Recreation Department; and WHEREAS, CIP staff recommends that the most advantageous project delivery method to accomplish the successful completion of the Golf Course ancillary facilities in an expedited manner would be to simultaneously retain the services of an architect/engineer (AlE) and a construction manager at risk (CMR), contractor who would work as a team to provide the City with the most economical and practical implementation of the project; and WHEREAS, part of the team's task would be to make recommendations concerning the availability of construction materials, and the impact they may have on the design and the building type that can be delivered in today's market, within the time constraints required; and WHEREAS, were the City to procure the services of an AlE and CMR through the required procurement process of issuing a Request for Proposals (RFP), (which process would also require compliance with the "Consultants' Competitive Negotiation Act"), it would take an estimated minimum of 120 days to award a contract; and WHEREAS, this would delay the start of design and construction by at least four (4) months; and WHEREAS, the Normandy Shores community has consistently demanded that the renovation of the closed-down Golf Course (and ancillary facilities) be completed as quickly as possible; and WHEREAS, these and other residents have complained that the abandoned Golf Course is attracting vermin, vagrants and vandals, which may not only potentially affect and impact the security of the neighborhood, but also raise health and safety concerns as well; and WHEREAS, the damage caused by the 2005 Hurricane Season has also caused further deterioration of the Golf Course (and ancillary facilities), which requires immediate attention; and WHEREAS, given the need to make the ancillary facilities available at the time that the Golf Course Renovation Project is completed, as well as the other aforestated factors, which continue to represent an adverse and increasingly negative impact on the quality of life, health, safety and welfare of the surrounding community, the Capital Improvements Office (CIP) strongly recommends that the Mayor and City Commission hereby waive, by 5/7ths vote the formal competitive bid process, and authorize the City Manager, as the City's designee, to procure the services of a CMR relative to the construction of the aforestated Project, finding such waiver to be in the best interest of the City; and WHEREAS, notwithstanding the request for the aforestated waiver of formal competitive bidding, the City Administration will continue to strive to maintain the integrity of the bid process and, accordingly, has proceeded to conduct its "due diligence" with regard to selection of the best capable CMR firm; and WHEREAS, accordingly, on April 10, 2006, CIP met with Miami-Dade County Public School (MDCPS) staff to inquire about the short-listed CMR firms which had been recently procured by MDCPS through a competitive selection process; and WHEREAS, the MDCPS shared with the City, its list of pre-qualified CMR firms, their bonding capacities, and their latest evaluation scores for the third quarter of 2005; and WHEREAS, based on the aforementioned documentation and the desire of CIP to attract quality contractors, the City proceeded to contact eight (8) CMR firms; and WHEREAS, of the eight (8) firms contacted, three firms (Betancourt Castellon & Associates; A2 Group; and Veitia-Padron, Inc.) stated that they had previous commitments and their work load was such that they could not take on additional work; and WHEREAS, the following remaining firms were interviewed by CIP: Turner Construction; Suffolk Construction; James R Pirtle Construction; Coastal Construction; and The Tower Group; and WHEREAS, prior to the commencement of the interview process, CIP developed an evaluation criteria and score sheet to be used for said evaluation; and WHEREAS, this evaluation criteria consisted of a list of key questions based on the Best Value Procurement process, which the City is currently using to select qualified vendors, as well as other City procurement criteria; and WHEREAS, CIP staff asked that the interested CMR's bring their qualifications for review during the interview process; and WHEREAS, all CMR candidates were asked the same questions as listed on the evaluation criteria questionnaire; and WHEREAS, during the interviews, all interested candidates were given an explanation of the City's intention to follow, as closely as possible, the recommendations of Best Value Procurement, and the requirement that all firms were to submit a risk assessment plan and a quality control plan, as well as letters of recommendation from previous clients; and WHEREAS, this information was analyzed by CIP in evaluating the CMR firms for the project; and WHEREAS, the interview and selection process included the evaluation of each firm's qualifications; past experience; size of firm; previous performance; public sector experience; size of projects completed and dollar value; previous contractor evaluation scores from MDCPS; reference letters; project team's qualifications; project manager's experience and qualifications; and risk assessment and quality control plans; and WHEREAS, following the interview process, CIP independently evaluated the submittals of the CMR firms and completed the evaluation criteria questionnaire, scoring and ranking the firms; and WHEREAS, the following are the City's scores and ranking of the firms: 1) Coastal Construction Company; 2) Pirtle Construction Company; 3) The Tower Group; 4) Suffolk Construction; 5) Turner Construction Company; and WHEREAS, Coastal Construction Company's risk assessment and quality control plans are attached hereto as Exhibit A; and WHEREAS, considering the scores and ran kings listed above, the City Manager recommends that the Mayor and City Commission hereby waive, by 5/7ths vote, the formal competitive bidding requirements, finding such waiver to be in the best interest of the City and further authorizing the City Manager to negotiate and execute the following: 1) a Pre- Construction Services Agreement with Coastal Construction Company, in an amount not to exceed $50,000 and, upon completion of said pre-construction services; 2) authorizing the City Manager to negotiate and execute a Guaranteed Maximum Price (GMP) Agreement, with Coastal Construction Company for the construction of the Project; and WHEREAS, the Pre-Construction and GMP Agreements, respectively, will be presented for ratification by the Mayor and City Commission at a future meeting. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA that the Mayor and City Commission hereby waive, by 5/7ths vote, the formal competitive bidding requirements, finding such waiver to be in the best interest of the City, and authorize the City Manager, as the City's designee, to take all necessary actions to procure the necessary construction services for the renovation of the Normandy Shores Clubhouse, and the construction of the new Golf Course maintenance building, cart barn, and two (2) restroom buildings, as follows: (1) authorizing the City Manager to negotiate (in conjunction with the City's Capital Improvement Projects Office (CIP)) and execute an Agreement for Pre-Construction Services, in an amount not to exceed $50,000, with the firm of Coastal Construction Company and, upon satisfactory completion of said pre- construction services; (2) authorizing the City Manager to negotiate (in conjunction with CIP), and execute a Guaranteed Maximum Price (GMP) Agreement with Coastal Construction Company for the construction of the aforestated Project; in the event the Administration is unsuccessful in negotiating an agreement(s) with Coastal Construction Company, authorizing the City Manager to negotiate and execute an agreement(s) with the second recommended firm of Pirtle Construction Company; in the event the Administration is unsuccessful in negotiating an agreement(s) with Pirtle Construction Company, authorizing the City Manager to negotiate and execute an agreement(s) with the third recommended firm of The Tower Group; in the event the Administration is unsuccessful in negotiating an agreement(s) with The Tower Group, authorizing the City Manager to negotiate and execute an agreement(s) with the fourth recommended firm of Suffolk Construction Company; and in the event the Administration is unsuccessful in negotiating an agreement(s) with Suffolk Construction Company, authorizing the City Manager to negotiate and execute an agreement(s) with the fifth recommended firm of Turner Construction Company; provided further that the aforestated Pre-Construction Services Agreement and GMP Agreement shall be subject to ratification by the Mayor and City Commission at a future meeting; in the alternative, in the event the City Commission does not approve the aforestated waiver, the Administration is hereby authorized to issue a Request for Proposals (RFP) for the necessary Construction services relative to the above reference Project. PASSED AND ADOPTED this 10th day David Dermer ~t~~ CITY CLERK Robert Parcher T:\AGENDA\2006\may1 006\Regular\NSGC-CH-Facilities-Waiver of CMR Resolution-Raul Changes-5-2- 06.doc APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION ~e. ~ COMMISSION ITEM SUMMARY Condensed Title: A Resolution of the Mayor and City Commission of the City of Miami Beach, Florida, waiving by 5/7ths vote, the formal competitive bidding requirements, finding such waiver to be in the best interest of the City, and authorizing the City Manager, as the City's Designee, to take all necessary actions to procure the necessary demolition, design, and construction services for the renovation of the Normandy Shores Clubhouse, and the construction of the new Golf Course maintenance building, cart barn, and two(2) restroom buildings, as follows; authorizing the City Manager to an agreement for pre-construction services, in an amount not to exceed $50,000, with the firm of Coastal Construction Company; and upon satisfactory completion of said pre- construction services, authorizing the City Manager to negotiate, and execute a Guaranteed Maximum Price (GMP for the construction of the aforestated project; provided that the pre-construction services agreement and GMP agreement shall be subject to ratification by the Mayor and City Commission at a future meeting and in the event the City Commission does not approve the aforestated waiver, authorizing the Administration to issue aRe uest for Pro osals RFP for the necessa construction services relative to the above reference ro'ect. Ke Intended Outcome Su orted: Ensure well designed quality capital projects. Issue: Should the City Commission accept the City Manager's recommendation to waive the competitive bidding requirements and allow the City Manager to execute a contract in the not to exceed amount of $50,000 for pre- construction services for the facilities at the Normandy Shores Golf Course facilities to the Construction ManaQer at Risk firm of Coastal Construction? Item Summa IRecommendation: In order for the golf course to be operational for the winter of 2007 the ancillary facilities (clubhouse, cart barn, maintenance building and restroom buildings) of the golf course need to be designed, permitted and built by the completion of the golf course project. In particular, the golf course maintenance facility is essential to the proper maintenance of the tees, greens and fairways, as they are turned over, in phases of completion, by the golf course contractor to the City's Parks & Recreation Department. CIP staff recommends that the most advantageous project delivery method to accomplish the successful completion of the golf course facilities in an expedited manner would be to simultaneously retain the services of an Architect and a Construction Manager at Risk Contractor, who would work as a team to provide the City with the most economical and practical implementation of the project. Part of the Team's Task would be to make recommendations concerning the availability of construction materials, and the impact it may have on the design and the building type that can be delivered in today's market within the time constraints required. If the City were to procure the services of an Architect and Construction Manager at Risk(CMR) through the required procurement process of issuing a Request for Qualifications (RFQ), it would take a minimum of 120 days to award a contract. This would delay the start of design and construction by at least four months. The Normandy Shores community has consistently demanded that the renovation of the closed down golf course and facilities be completed as quickly as possible. The existing facilities have been abandoned for over a year. During this time, the facilities have deteriorated to such an extent that structural failures are visible. These building failures include missing and/or caved in roofs, deterioration of structural columns, water damage, and electrical and mechanical system failures. Further damage of the Normandy Shores Clubhouse, if left unattended may cause such structural deterioration that the facility may necessitate total demolition. In addition, the damage caused by the 2005 hurricane season has caused further deterioration of the facilities which require immediate attention. Given the need to make the facilities available at the time that the golf course renovation project is completed, CIP recommends that the Ma or and Ci Commission waive the com etitive bid rocess for the CMR. Advisory Board Recommendation: IN/A Financial Information: soure~ Amount Account Approved Fund: 1 $50,000 Previously Appropriated G.O. Bond Funds for the Clubhouse Proiect. OSPI Total $50,000 FinanciallmDact Summary: in ~ MIAMI BEACH AGENDA ITEM -1?7 B DATE '5-(O--Or;, lD MIAMI BEACH City of Miami Beach, 1700 Convention Center Drive, Miomi Beoch, Florido 33139, www.miomibeochfl.gov TO: FROM: DATE: SUBJECT: COMMISSION MEMORANDUM Mayor David Dermer and Members of the City Commission Jorge M. Gonzalez, City Manager ~ 1/'-"7. . May 10, 2006. (J {) A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, WAIVING BY 5/7THS VOTE, THE FORMAL COMPETITIVE BIDDING REQUIREMENTS, FINDING SUCH WAIVER TO BE IN THE BEST INTEREST OF THE CITY, AND AUTHORIZING THE CITY MANAGER, AS THE CITY'S DESIGNEE, TO TAKE ALL NECESSARY ACTIONS TO PROCURE THE NECESSARY CONSTRUCTION SERVICES FOR THE RENOVATION OF THE NORMANDY SHORES CLUBHOUSE, AND THE CONSTRUCTION OF THE NEW GOLF COURSE MAINTENANCE BUILDING, CART BARN, AND TWO (2) RESTROOM BUILDINGS (THE PROJECT), AS FOLLOWS: (1) AUTHORIZING THE CITY MANAGER TO NEGOTIATE ( IN CONJUNCTION WITH THE CITY'S CAPITAL IMPROVEMENTS OFFICE (CIP)) AND EXECUTE AN AGREEMENT FOR PRE-CONSTRUCTION SERVICES, IN AN AMOUNT NOT TO EXCEED $50,000, WITH THE FIRM OF COASTAL CONSTRUCTION COMPANY AND, UPON SATISFACTORY COMPLETION OF SAID PRE-CONSTRUCTION SERVICES; (2) AUTHORIZING THE CITY MANAGER TO NEGOTIATE (IN CONJUNCTION WITH CIP) AND EXECUTE A GUARANTEED MAXIMUM PRICE (GMP) AGREEMENT WITH COASTAL CONSTRUCTION COMPANY FOR THE CONSTRUCTION OF THE AFORESTATED PROJECT; IN THE EVENT THE ADMINISTRATION IS UNSUCCESSFUL IN NEGOTIATING AN AGREEMENT(S) WITH COASTAL CONSTRUCTION COMPANY, AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE AN AGREEMENT(S) WITH THE SECOND RECOMMENDED FIRM OF PIRTLE CONSTRUCTION COMPANY; IN THE EVENT THE ADMINISTRATION IS UNSUCCESSFUL IN NEGOTIATING AN AGREEMENT(S) WITH PIRTLE CONSTRUCTION COMPANY, AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE AN AGREEMENT(S) WITH THE THIRD RECOMMENDED FIRM OF THE TOWER GROUP; IN THE EVENT THE ADMINISTRATION IS UNSUCCESSFUL IN NEGOTIATING AN AGREEMENT(S) WITH THE TOWER GROUP, AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE AN AGREEMENT(S) WITH THE FOURTH RECOMMENDED FIRM OF SUFFOLK CONSTRUCTION COMPANY; IN THE EVENT THE ADMINISTRATION IS UNSUCCESSFUL IN NEGOTIATING AN AGREEMENT(S) WITH SUFFOLK CONSTRUCTION COMPANY, AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE AN AGREEMENT(S) WITH THE FIFTH RECOMMENDED FIRM OF TURNER CONSTRUCTION COMPANY; PROVIDED FURTHER THAT THE AFOREST A TED PRE-CONSTRUCTION SERVICES AGREEMENT AND GMP AGREEMENT SHALL BE SUBJECT TO RATIFICATION BY THE MAYOR AND CITY COMMISSION AT A FUTURE MEETING; IN THE City Commission Memorandum-NSGC-CH Waiver CMR May 10, 2006 Page 2 of 6 ALTERNATIVE, PROVIDED FURTHER THAT, IN THE EVENT THE CITY COMMISSION DOES NOT APPROVE THE AFORESTATED WAIVER, AUTHORIZING THE ADMINISTRATION TO ISSUE A REQUEST FOR PROPOSALS (RFP) FOR THE NECESSARY CONSTRUCTION SERVICES RELATIVE TO THE ABOVE REFERENCED PROJECT. ADMINISTRATION RECOMMENDATION Adopt the Resolution. FUNDING Funding is available from the previously appropriated GO Bond funds for the Normandy Shores Clubhouse Project. ANALYSIS On October 8, 1997, pursuant to Request For Qualifications No. 79-96/97 (RFQ), the Mayor and City Commission adopted Resolution No. 97-22575, authorizing the Mayor and City Clerk to execute an Agreement with the firm of Arthur Hill and Associates, for professional services for the design, construction, bidding documents, construction observation, project administration, scheduling, and cost estimating necessary for the renovation and improvement of three City golf courses: Bayshore Golf Course, Bayshore/Par 3, and the Normandy Shores Golf Course (the Agreement). On September 8, 2004, the City adopted Resolution No. 2004-25665 for Amendment NO.2 for additional services necessary for the renovation of the Normandy Shores Golf Course Project which included services relative to the drainage and irrigation system improvements. Currently, it is anticipated that the golf course renovation project will commence later this year, with anticipated duration of at least twelve (12) months. On December 2, 2005, in an effort to minimize delays, the City's Capital Improvement Projects Office (CIP) issued Pass International, one of the City's Job Order Contractor's (JOC), a Notice to Proceed for design-build services for the renovation of the existing Clubhouse, demolition and design of a new Maintenance Building, Cart Barn, and Two Restroom buildings on the Normandy Shores Golf Course. Shortly after Pass International started the design-build process, the administration concluded that retaining design services under the JOC contract would not comply with state regulatory requirements for a project of this size. Accordingly, on February 17, 2006, the City terminated the services for the design- build contract with Pass International. In order for the golf course to be operational for the winter of 2007 the ancillary facilities (clubhouse, cart barn, maintenance building and restroom buildings) ofthe golf course need to be designed, permitted and built to coincide with the renovation. In particular, the golf course maintenance facility is essential to the proper maintenance of the golf course by the City's Parks & Recreation Department. CIP staff recommends that the most advantageous project delivery method to accomplish the successful completion of the golf course facilities in an expedited manner would be to simultaneously retain the services of an Architect and a Construction Manager at Risk Contractor, who would work as a team to provide the City with the most economical and practical implementation of the project. Part of the Team's Task would be to make recommendations concerning the availability of construction materials, and the impact it may have on the design and the building type that can be delivered in today's market within the time constraints required. City Commission Memorandum-NSGC-CH Waiver CMR May 10, 2006 Page 3 of 6 If the City would procure the services of an Architect and Construction Manager at Risk (CMR) through the City's standard procurement process of issuing a Request for Qualifications (RFQ), it would take a minimum of 120 days to award a contract and, based on previous experience, could take as long as 180 to 270 days from issuance of the RFQ through execution of agreement. This would delay the start of design and construction by at least four months. By waiving the selection and/or competitive bidding requirements, the City could start negotiating a contract with the Architectural and CMR firms immediately after the commission meeting making it possible for the City to give the Architectural and CMR firms a Notice to Proceed within four weeks from the Commission meeting. The facilitation of negotiating the contracts within four weeks would result in substantial savings to the City in terms expedited design and construction schedules. CIP reviewed three project delivery methods best suited for the facilities at the Normandy Shores Golf Course Project. The following project delivery methods were analyzed for implementation on this project: 1. Conventional Design-Bid A ward: This method entails the competitive selection of an Architect, who designs the project and produces a set of construction documents that are advertised for bid and recommended for award by the City Commission. In this method the Architect and Contractor are independently under contract with the City. 2. Design-Build: This method entails the competitive selection of a Design Criteria Professional who produces a set of performanc~ specifications which consist of a Design Criteria Package. Once the Design Criteria Package is approved, the competitive selection process for a Design-Build firm begins. Once the Design-Build Team is short-listed, a recommendation for award is made to the Commission and the Design Build Team can commence the construction documents thereafter. In this method, the Contractor and the Design Criteria Professional are under contract with the City. The Architect of Record is under contract and works directly for the Contractor. 3. Construction Manager at Risk (CMR): This method entails the selection of an Architectural firm and a CMR firm simultaneously through a competitive selection process based on performance. Under the CMR approach, the owner enters into agreements with both an AlE and a Contractor early in the process. They are both independently responsible for the design as well as for the value of the project as it relates to established budgets. During the design process the Contractor provides constructability, value engineering, and construction methods advice so that the final construction documents lead to a more accurate price. The end result is a Guaranteed Maximum Price (GMP) from the Contractor which is subject to restrictions in change orders requests and minimizes or eliminates additional costs to the owner. In this approach, the CIP staff is involved in monitoring both the AlE and the Contractor throughout the complete project process. This scenario tends to minimize additional services requests from the AlE since most of the issues which may arise during construction are addressed during the team design approach. Additional costs from the contractor, including time extensions, are also minimized since the GMP method prohibits most project cost adjustments. CIP staff recommends the CMR option as the most advantageous project delivery method to successfully complete the ancillary facilities at the Normandy Shores Golf Course by retaining the services of an Architect and a CMR firm, who would work as a team to provide the City with the most economical and practical implementation of the project. This would enable the City to commence with the design / construction documents immediately upon contract award and the CMR firm would assist the Architectural firm by providing pre- construction services and value engineering early in the design phases of the project. Thus, City Commission Memorandum-NSGC-CH Waiver CMR May 10, 2006 Page 4 of 6 the CMR option enables the City to start the design / construction documents phase immediately after award and gain the City the time it would take the Design-Builder to produce the Design Criteria Package. Another advantage of this option, is that the cost is negotiated upfront, is generally not increased during construction, and the responsibility for the project in term of time and cost is mostly on the contractor, with less flexibility than on a Design-Build approach. This leads to the contractor being more efficient, increased productivity, and few or no change orders. Under this approach, time is of the essence to the contractor because there will be no compensation considered for delays. In addition, the concept of partnering an Architectural firm with a CMR firm early in the design process thru this team approach, fosters a spirit of cooperation rather then the adversarial relationships inherent in the relationships arising from the "low bid" mentality. The teaming of the Architectural Firm and CMR firms lead to coordinated design documents, a thorough review of existing conditions, and detailed recommendations of building systems which would save the City, time and money without impacting quality. The Normandy Shores community has consistently demanded that the renovation of the closed down golf course and facilities be completed as quickly as possible. The existing facilities have been abandoned for over a year. During this time, the facilities have deteriorated to such an extent that structural failures are visible. These building failures include missing and/or caved in roofs, deterioration of structural columns, water damage, and electrical and mechanical system failures. Further damage of the Normandy Shores Clubhouse, if left unattended may cause such structural deterioration that the facility may necessitate total demolition. In addition, the damage caused by the 2005 hurricane season has caused further deterioration of the facilities which require immediate attention. Given the need to make the facilities available at the time that the golf course renovation project is completed, CIP recommends that the Mayor and City Commission waive the competitive bid process for the Construction Manager at Risk Contractor pursuant to Section 2-367(e) of the City Code and Section 255.20(1 )-5, 8,9,10 of the Florida Statutes. Section 2-367(e) of the City Code: "The City Commission, upon written recommendation of the City Manager, may by resolution adopted by a five-sevenths vote of the City Commission waive competitive bidding when the City Commission finds such waiver to be in the best interest of the City. In the event of such a waiver the City Commission may authorize the execution of a negotiated contract". Section 255.20(1 )-5, 8,9,10 of the Florida Statutes: "When the project is undertaken as repair or maintenance of an existing public facility". 8. "When the local government has competitively awarded a project to a private sector contractor and the contractor has abandoned the project before completion or the local government has terminated the contract." Evaluation Process: In order to exercise due diligence in the selection of a Construction Manager at Risk Contractor, CIP Staff has done the following: 1. On April 10, 2006, met with Miami-Dade County Public School (MDCPS) Staff to inquire about the CM at Risk Firms procured through a competitive selection process. The MDCPS shared with the City, a list of pre-qualified CMR firms, their City Commission Memorandum-NSGC-CH Waiver CMR May 10,2006 Page 5 of 6 bonding capacities, and their latest evaluation scores for the third quarter of 2005. MDCPS is procuring most of its $1 billion capital construction program using CMR firms. 2. Based on the aforementioned documentation and the desire of CIP to attract quality Contractors, the City proceeded to contact eight (8) CMR firms, six of whom were pre-qualified with MDCPS. Of the eight firms contacted, three firms (Betancourt Castellon & Associates, A2 Group and Veitia-Padron, Inc) stated that they had previous commitments and their work load was such that they could not take on additional work without jeopardizing the quality of their service. The following remaining firms were interviewed by Senior CIP staff: . Turner Construction . Suffolk Construction . James B. Pirtle Construction . Coastal Construction Company . The Tower Group Prior to the commencement of the interview process, CIP staff developed an evaluation criteria and score sheet to be used for the evaluation. The evaluation criteria consisted of a list of key questions based on the Best Value Procurement process, which the City is currently using to select qualified vendors as well as other City procurement criteria. The Evaluation Questionnaire and Score Sheet are attached as Exhibit "A" and "B" respectively. CIP staff asked that the interested CMR's bring their qualifications for review during the interview process. All CMR candidates were asked the same questions as listed on the Evaluation Criteria Questionaire. In addition, during the interviews all interested candidates were given an explanation of the City's intention to follow as closely as possible the recommendations of Best Value Procurement and the requirement that all firms were to submit a Risk Assessment Plan and a Quality Control plan as well as letters of recommendation from previous clients. This information was analyzed by CIP Staff in evaluating the CMR firms for the project. The interview and selection process included the evaluation of each firm's qualifications, past experience,size of firm, previous performance, public sector experience, size of projects completed and dollar value, previous Contractor evaluation scores from MDCPS, reference letters, Project Team's qualifications, Project Manager's experience and qualifications, and their Risk Assessment and Quality Control Plans. Following the interview process, CIP Staff independently evaluated the submittals of the CMR firms and completed the Evaluation Criteria Questionnaire, scoring and ranking the firms. The following are the scores and ranking of the firms: Coastal Construction Company: Ranked Number 1 Pirtle Construction: Ranked Number 2 The Tower Group: Ranked Number 3 Suffolk Construction: Ranked Number 4 Turner Construction: Ranked Number 5 Please see attached Exhibit "A" for Coastal Construction Company; The Risk Assessment and Quality Control Plan. City Commission Memorandum-NSGC-CH Waiver CMR May 10, 2006 Page 6 of 6 CONCLUSION Considering the scores and ranking listed above, CIP staff recommends that the Mayor and City Commission waive the competitive bidding requirements pursuant to City Code and Florida Statute and award the Construction Manager at Risk contract for pre-construction services, to Coastal Construction Company, in a form acceptable to the City Attorney, in an amount not to exceed $50,000 to be negotiated, for said project, and upon completion ofthe pre-construction services, the Construction Manager at Risk firm and the City will negotiate a Guaranteed Maximum Price (GMP) for the construction of said project. The GMP amendment and associated agreements will be presented at a future time for Mayor and City Commission approval. Attachment: Exhibits; "A". T:\AGENDA\2006\may1006\Regular\NSGC-CH-Facilities-Waiver of CMRisk-Memo May 102006 (2).doc Exhibit A: Risk Assessment & Quality Control Plan- Coastal E Coastal April 18, 2006 Jorge Chartrand Director Capital Improvement Projects Office Miami Beach, FL Dear Jorge: As a follow up to our meeting yesterday, we are pleased to present a summary of our Risk Management Program for, your project. Risk Management and Control is built into each step of our company processes. It is comprised of 6 primary exposures: Contracts, Safety, Insurance & Loss Control, Legal, Quality Control, and Project Specific items. Our team is dedicated to monitoring and mitigating risk on a daily basis to help prevent adverse events from having an unfavorable effect on our company's projects. Thank you for the opportunity to submit this proposal, and we look forward to the possibility of working with you and your team of professionals. Should you have any questions or we can be of any service, please do not hesitate to give us a call. Sincerely, c; _':-J -0 AJ ;0 ~11 COASTAL CONSTRUCTION COMPANY ~~ -. -~:... 1..0 -0 (/) ~ rn CJ Daniel E. Whiteman, Ph.D President r., ::>:- C-i ::r: -I (J1 C) N Coastal Construction Company 5959 Blue Lagoon Drive " iriS GG c H - 03 d- OlfIB2oot}uite200 fJ .., tV Miami, Florida 33126 305 559 4900 Telephone 305 221 5005 Facsimile NORMANDY SHORES GOLF COURSE CLUBHOUSE AND COMMUNITY CENTER FACILITIES ,-. . Leaal Coastal prides itself on the fact that we have never been required to have the legal system determine the final outcome of a project with any of our Customers. Our proactive approach to issue resolution through Partnering serves continually to mitigate issues by identifying prompt solutions implemented effectively. Coastal has on staff an In-house Legal Counsel to participate in a review of all contract negotiations and any potential legal issues that arise, thereby minimizing the need for the use of Outside Counsel for the day to day operations of the company. . Quality Assurance and Quality Control Coastal believes that the key to a successful project is to "Do Things Right - The First Time". As a result of this philosophy, Coastal has one of its founding principals of the company dedicated full-time to Quality Assurance and Quality Control. The projects Coastal constructs and the Customers for whom the company builds are the key to our future, and serve as the best references that could be provided. Our Quality Management assures: ",-... o Quality that exceeds our Customers expectations o Maximization of personnel productivity o Conservation of resources o Reduction in required corrective measures o Timely completion of projects These goals are achieved by utilizing Coastal's Management Team to conduct daily on-site inspections, pre-qualification of subcontractors and suppliers, proper evaluation of all subcontractor proposals, accurate submittal review and project control, and a construction site that is kept clean and organized. Included is a reprint of an article published in TQM Magazine, authored by Coastal's President, entitled "Inhibiting Factors of Implementing Total Quality Management on Construction Sites". A copy of the complete Coastal Quality Assurance Plan is available for your review upon request. . Proiect Specific Risks Coastal conducts a comprehensive review of each project during the preconstruction period and continually during construction of the areas of potential risks to be dealt with by the project personnel. Based upon a preliminary review of this project, the following items should be considered over the next several months: ,- o Coordination and communication with the Golf Course Contractor working on site simultaneously. o Ensuring proper utilization of existing structural components in new designs. Existing structural integrity for intended loads. E Coastal NORMANDY SHORES GOLF COURSE CLUBHOUSE AND COMMUNITY CENTER FACILITIES - o Minimizing design changes that could impact a short duration project. o Potential restricted work hours in residential neighborhood. o Security and parking concerns for employees and surrounding properties. o Efficient and timely procurement process is essential to project success. o Shop drawing approval process and RFI response time are crucial to on-time completion. o Existing and new utility connections and compatibility. Condition of existing utilities based on installations that may not be completely documented. o Defining and scheduling priorities to coordinate design and construction sequences. o Permitting and inspection process before and during construction to assure no delays in opening of the golf facilities. o Public opinion and appearance of the overall management of the City's funds and site. o Securing of the site and protection of the work in place during hurricane season. o Time frame for selection criteria for building structural design. ,.- ,- E Coastal NORMANDY SHORES GOLF COURSE CLUBHOUSE AND COMMUNITY CENTER FACILITIES ) QUALITY ASSURANCE AND QUALITY CONTROL Coastal is built on a simple foundation - Commitment to Excellence. Quality Assurance and Quality Control are not just "buzzwords" within the Coastal organization; they are one of the cornerstones of our corporate philosophy. The concept of Total Quality Management (TQM) assures control of quality that has been utilized by our organization for more than 10 years. Coastal President, Daniel E. Whiteman, Ph.D., conducted his doctoral research on the topic: 'The Application of Total Quality Management in Construction Field Operations." This research included an exhaustive study of the top builders in the nation and measured the successes and failures of TQM in their organizations. By identifying these roadblocks to success and building upon the successes these contractors had achieved, Dr. Whiteman was able to use the findings of the research by introducing the "Best of Industry" components of TQM into Coastal's projects. The research indicated that there are a number of key factors that can improve quality performance in a construction project, some of which include: · Total commitment of top management to quality throughout the operations of the company, at every level. · Complete focus on the Customers Needs and Expectations, including the implementation of the Partnering concept on all major projects. · Continuous training and empowerment of workers in every position of the construction operation, including preconstruction conferences prior to commencement of each new activity. · Development of and repeated utilization of a qualified subcontractor base that has quality management as the basis of their operations. · Minimization of paperwork and development of efficient means of tracking communications and paperwork involving requests for information, submittals, and other record documents utilized to assure quality conformance. The TQM approach is one where every Coastal worker takes pride in his or her job and the overall success of the project is our driving motivation. At Coastal the promotion of TQM begins with Tom Murphy, Jr., and pervades all levels of management. TQM offers a number of benefits, including: · The ultimate in quality · Effective pre-construction planning · Maximization of personnel productivity · Conservation of resources · Reduction in required corrective measures · Timely completion of projects Ii Cc)astal NORMANDY SHORES GOLF COURSE CLUBHOUSE AND COMMUNITY CENTER FACILITIES \ \ I COST CONTROL AND VALUE ENGINEERING Cost Control Coastal establishes a realistic and credible Estimate at the Concept or Schematic stages. Estimates, even at this level, are created using a detailed line item approach. Unnecessary allowances provide a critical method to establish an accurate cost estimate and also to track the budget through the Design Phase. During the Design Phase, Coastal will establish a Design Phase Schedule which includes all milestones for meeting dates, plan submittals, permit applications, additional estimates, Value Engineering reports, etc. Tracking the budget through the Schematic, Design Development and Construction Document phases ensures there will be no surprises to the Owner prior to the start of construction. Side-by-side estimate comparisons are prepared at every phase and any significant deltas are highlighted and analyzed. Coastal's knowledge of construction costs gained through experience and capability to capture these costs in an internal data base, helps to ensure accurate budgeting at all phases of the design. Value Engineering Successful Value Engineering involves proposing acceptable items early in the Design Phase to establish the design parameters in the Schematic Phase and to eliminate or reduce redesign fees. Coastal's approach to Value Engineering is one of "Evaluating Alternative Methods and Systems," not reducing scope to achieve the budget. Value Engineering is a continual process throughout the Design Phase. Formal one., two- and three-day Value Engineering sessions utilizing the SAVE (Society of American Value Engineers) guidelines can also be provided. All Value Engineering by Coastal is performed in a team environment with the approval of the consulting engineers and acceptance by the Owner. Recent examples of Value Engineering incorporated into the design documents to reduce costs or enhance the design include changing the electrical distribution system, reducing reinforcing steel without compromising the design and adding a waterproof membrane at a critical slab to avoid water intrusion. Ii Cc)astal NORMANDY SHORES GOLF COURSE CLUBHOUSE AND COMMUNITY CENTER FACILITIES Scheduling Scheduling is critical to providing the Owner a successful project. Coastal utilizes Sure Track scheduling software to monitor the construction process. Items on the critical path are flagged and long lead items are identified and scheduled accordingly. Schedules are monitored and updated weekly throughout the construction process. Other methods of maintaining the project schedule that have been used successfully by Coastal on similar projects include isolating critical or complicated pieces of work and preparing a mini-schedule to ensure this work is put in place in a timely manner and utilizing a team scheduling approach, where Coastal, AlEs, Subcontractors and the Owner would participate in and establish an agreed upon schedule. E Coastal